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Digital Performance Management - 4 Key Metrics to Watch

Klaus Enzenhofer

Today's websites are not just marketing channels, they are critical production factors. If a website doesn't deliver a satisfactory customer experience the entire value delivery chain breaks down, and a company will not generate revenue regardless of product quality or value proposition.

Mastering digital performance is one of the leading challenges of the web economy, and requires a joint effort between IT and the lines of business. It means measuring and managing the end-to-end transaction delivery and translating it into actionable information. This will allow you to deliver an engaging digital experience, thus maximizing revenue and improving brand loyalty.

This gets a lot easier if you simply monitor a handful of key application performance metrics. This blog describes four good ones to get started with:

1. Make sure that your online business is actually generating revenue

Cyber Monday 2014 was Walmart's biggest ever online shopping event, with mobile driving 70% of total traffic. Application performance was a major factor impacting the business results; a recent study indicates the company experienced a 2% conversion increase for every one-second improvement in response time.

It's the responsibility of both the business and engineering teams to define and achieve conversion and revenue goals, and keeping an eye on these two metrics in real time is essential.

The first set of metrics to add to your dashboard are:

■ Revenue targets

■ Conversion Rate

■ A number, or count, of money-making actions

2. Make sure that your infrastructure is available to generate revenue

There is nothing worse than your system being unavailable. This frustrates customers and often drives them to a competitor's website! Kia and Soda Stream USA struggled with this issue during Super Bowl XLVIII. To address this risk, set up an availability check for your IT systems. This is inexpensive, easily implemented and does not require much in the way of significant IT changes.

The metric to add to your dashboard is:

■ Availability from my top locations

3. Be certain that every revenue-generating customer is a happy one

You can track and understand the user's journey based on their actions. This allows you to determine what the user did with your application, how long they worked with it, which features they used and how the overall experience with your company was delivered.

The metric to add to your dashboard is:

■ User Experience Index

4. Are your business critical actions successful, erroneous or slow?

The user experience index is a great metric to provide a general overview, but there are some other revenue-generating transactions like "search", "add to cart", "check out" and "pay" that you should also be plugged into. For financial services companies, key transactions like "log-in" and "transfer funds" can be added.

The metrics to add to your dashboard are:

■ Number of executions of the critical action

■ Failure rate per critical action

■ Response time per critical action

Conclusion

It's the responsibility of both the business and engineering teams to not only define conversion and revenue goals, but also make sure they are reached. In IT you can't impact the product portfolio or how it's marketed, but you can certainly make sure application performance doesn't become a roadblock. You want to eliminate all revenue barriers, and a focus on digital performance can insure that the road to conversion is quick and easy.

Klaus Enzenhofer is a Senior Technology Strategist in the Center of Excellence at Dynatrace.

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As businesses increasingly rely on high-performance applications to deliver seamless user experiences, the demand for fast, reliable, and scalable data storage systems has never been greater. Redis — an open-source, in-memory data structure store — has emerged as a popular choice for use cases ranging from caching to real-time analytics. But with great performance comes the need for vigilant monitoring ...

Kubernetes was not initially designed with AI's vast resource variability in mind, and the rapid rise of AI has exposed Kubernetes limitations, particularly when it comes to cost and resource efficiency. Indeed, AI workloads differ from traditional applications in that they require a staggering amount and variety of compute resources, and their consumption is far less consistent than traditional workloads ... Considering the speed of AI innovation, teams cannot afford to be bogged down by these constant infrastructure concerns. A solution is needed ...

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IT and line-of-business teams are increasingly aligned in their efforts to close the data gap and drive greater collaboration to alleviate IT bottlenecks and offload growing demands on IT teams, according to The 2025 Automation Benchmark Report: Insights from IT Leaders on Enterprise Automation & the Future of AI-Driven Businesses from Jitterbit ...

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2020 was the equivalent of a wedding with a top-shelf open bar. As businesses scrambled to adjust to remote work, digital transformation accelerated at breakneck speed. New software categories emerged overnight. Tech stacks ballooned with all sorts of SaaS apps solving ALL the problems — often with little oversight or long-term integration planning, and yes frequently a lot of duplicated functionality ... But now the music's faded. The lights are on. Everyone from the CIO to the CFO is checking the bill. Welcome to the Great SaaS Hangover ...

Regardless of OpenShift being a scalable and flexible software, it can be a pain to monitor since complete visibility into the underlying operations is not guaranteed ... To effectively monitor an OpenShift environment, IT administrators should focus on these five key elements and their associated metrics ...

Digital Performance Management - 4 Key Metrics to Watch

Klaus Enzenhofer

Today's websites are not just marketing channels, they are critical production factors. If a website doesn't deliver a satisfactory customer experience the entire value delivery chain breaks down, and a company will not generate revenue regardless of product quality or value proposition.

Mastering digital performance is one of the leading challenges of the web economy, and requires a joint effort between IT and the lines of business. It means measuring and managing the end-to-end transaction delivery and translating it into actionable information. This will allow you to deliver an engaging digital experience, thus maximizing revenue and improving brand loyalty.

This gets a lot easier if you simply monitor a handful of key application performance metrics. This blog describes four good ones to get started with:

1. Make sure that your online business is actually generating revenue

Cyber Monday 2014 was Walmart's biggest ever online shopping event, with mobile driving 70% of total traffic. Application performance was a major factor impacting the business results; a recent study indicates the company experienced a 2% conversion increase for every one-second improvement in response time.

It's the responsibility of both the business and engineering teams to define and achieve conversion and revenue goals, and keeping an eye on these two metrics in real time is essential.

The first set of metrics to add to your dashboard are:

■ Revenue targets

■ Conversion Rate

■ A number, or count, of money-making actions

2. Make sure that your infrastructure is available to generate revenue

There is nothing worse than your system being unavailable. This frustrates customers and often drives them to a competitor's website! Kia and Soda Stream USA struggled with this issue during Super Bowl XLVIII. To address this risk, set up an availability check for your IT systems. This is inexpensive, easily implemented and does not require much in the way of significant IT changes.

The metric to add to your dashboard is:

■ Availability from my top locations

3. Be certain that every revenue-generating customer is a happy one

You can track and understand the user's journey based on their actions. This allows you to determine what the user did with your application, how long they worked with it, which features they used and how the overall experience with your company was delivered.

The metric to add to your dashboard is:

■ User Experience Index

4. Are your business critical actions successful, erroneous or slow?

The user experience index is a great metric to provide a general overview, but there are some other revenue-generating transactions like "search", "add to cart", "check out" and "pay" that you should also be plugged into. For financial services companies, key transactions like "log-in" and "transfer funds" can be added.

The metrics to add to your dashboard are:

■ Number of executions of the critical action

■ Failure rate per critical action

■ Response time per critical action

Conclusion

It's the responsibility of both the business and engineering teams to not only define conversion and revenue goals, but also make sure they are reached. In IT you can't impact the product portfolio or how it's marketed, but you can certainly make sure application performance doesn't become a roadblock. You want to eliminate all revenue barriers, and a focus on digital performance can insure that the road to conversion is quick and easy.

Klaus Enzenhofer is a Senior Technology Strategist in the Center of Excellence at Dynatrace.

The Latest

As businesses increasingly rely on high-performance applications to deliver seamless user experiences, the demand for fast, reliable, and scalable data storage systems has never been greater. Redis — an open-source, in-memory data structure store — has emerged as a popular choice for use cases ranging from caching to real-time analytics. But with great performance comes the need for vigilant monitoring ...

Kubernetes was not initially designed with AI's vast resource variability in mind, and the rapid rise of AI has exposed Kubernetes limitations, particularly when it comes to cost and resource efficiency. Indeed, AI workloads differ from traditional applications in that they require a staggering amount and variety of compute resources, and their consumption is far less consistent than traditional workloads ... Considering the speed of AI innovation, teams cannot afford to be bogged down by these constant infrastructure concerns. A solution is needed ...

AI is the catalyst for significant investment in data teams as enterprises require higher-quality data to power their AI applications, according to the State of Analytics Engineering Report from dbt Labs ...

Misaligned architecture can lead to business consequences, with 93% of respondents reporting negative outcomes such as service disruptions, high operational costs and security challenges ...

A Gartner analyst recently suggested that GenAI tools could create 25% time savings for network operational teams. Where might these time savings come from? How are GenAI tools helping NetOps teams today, and what other tasks might they take on in the future as models continue improving? In general, these savings come from automating or streamlining manual NetOps tasks ...

IT and line-of-business teams are increasingly aligned in their efforts to close the data gap and drive greater collaboration to alleviate IT bottlenecks and offload growing demands on IT teams, according to The 2025 Automation Benchmark Report: Insights from IT Leaders on Enterprise Automation & the Future of AI-Driven Businesses from Jitterbit ...

A large majority (86%) of data management and AI decision makers cite protecting data privacy as a top concern, with 76% of respondents citing ROI on data privacy and AI initiatives across their organization, according to a new Harris Poll from Collibra ...

According to Gartner, Inc. the following six trends will shape the future of cloud over the next four years, ultimately resulting in new ways of working that are digital in nature and transformative in impact ...

2020 was the equivalent of a wedding with a top-shelf open bar. As businesses scrambled to adjust to remote work, digital transformation accelerated at breakneck speed. New software categories emerged overnight. Tech stacks ballooned with all sorts of SaaS apps solving ALL the problems — often with little oversight or long-term integration planning, and yes frequently a lot of duplicated functionality ... But now the music's faded. The lights are on. Everyone from the CIO to the CFO is checking the bill. Welcome to the Great SaaS Hangover ...

Regardless of OpenShift being a scalable and flexible software, it can be a pain to monitor since complete visibility into the underlying operations is not guaranteed ... To effectively monitor an OpenShift environment, IT administrators should focus on these five key elements and their associated metrics ...